Evergrande is struggling to repay more than $300 billion in liabilities, including nearly $20 billion of offshore bonds deemed in cross-default by ratings agencies last month after it missed payments.
Evergrande is seeking to defer redemption and coupon payments of Hengda Real Estate Group's 4.5 billion yuan 6.98% January 2023 bond to July 8 from Jan. 8, which gives bondholders the option to sell bonds back to the issuer this weekend.Evergrande, the most indebted developer in the world, has not yet missed any bond payments onshore, which are more senior than the offshore debt. The firm failed to make $82.
Chinese authorities have repeatedly reassured markets that Evergrande's woes can be contained, and stressed that paying workers' wages and delivering homes to buyers are priorities for developers in order to maintain social stability. Evergrande reiterated in a filing on Tuesday it would continue to actively maintain communication with creditors, strive to resolve risks and safeguard the legitimate rights and interests of all parties.